Serial bond explained

Serial bonds are financial bonds that mature in installments over a period of time. In effect, a $100,000, 5-year serial bond would mature in a $20,000 annuity over a 5-year interval.[1] These are bond issues consisting of a series of securities blocks which mature in sequence, and the coupon rate for these various blocks can be different.[2]

Notes and References

  1. Book: Horngren C.. Charles Thomas Horngren. 2007. Accounting. 734. Upper Saddle River, NJ. Prentice. 7th. 0-13-243960-3.
  2. Book: Fabozzi, Frank J.. 2000. Fixed Income Analysis for the Chartered Financial Analyst Program. registration. 14. New Hope, Pennsylvania. Frank J. Fabozzi Associates. 1-883249-83-X.

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